Magazine: Tobacco products from a single distributor

Tabán Trafik Zrt.’s consortium has been given the rights for operating the new central tobacco product supply system in controversial circumstances. This story may continue in Brussels, but at the moment the big question is: will the new National Tobacco Shop Supplier Kft. (ODBE) be able to supply all 6,000 units with tobacco products from November? ODBE will use the so-called reversed profit margin system: the central distributor guarantees a bigger profit margin for tobacco shops with a lower turnover, e.g. tobacco shops with an annual turnover bigger than HUF 120 million will only be granted a 10-percent profit margin. Below the HUF 120-million/year sales threshold three categories with three different profit margins are specified – these are all bigger than 10 percent, making sure tobacco shop owners who fall into these categories – estimation is that 80 percent of them do – earn more than in the current system